Medicare Advantage commissions 2018
For the third year in a row Medicare Advantage commissions have increased! Medicare Advantage commissions 2018 are listed below by each state. All new and current commissions will be adjusted to the 2018 levels.
The Medicare Advantage renewal rates differ from state to state. Therefore, Medicare Advantage commission 2018 plan compensation rates are broken down by state. There are three different groupings of states CA and NJ is one rate. CT, PA and DC are another rate. All other states are in the third category.
Both CA and NJ, initial Medicare Advantage commissions have increased from $553 for each new member per year to $567 for each new member per year. (This is a 2.5% increase). Replacement commissions increased from $27 per member a year to $284 per member a year. (This is also a 2.5% increase).
The states of CT and PA as well as DC, have increased the initial Medicare Advantage commissions from $498 for each new member per year to $511 for each new member per year. This a 2.6% increase in the new member sign up rate. In addition, the replacement commissions have increased from $249 a member per year to $256 a member per year. This amounts to a 2.8% increase.
In all other states;
The initial Medicare Advantage commissions increased from $443 for each new member you sign up per year up to $455 for each new membership per year. This is a 2.7% increase from the previous year. In fact, the replacement commissions have increased from $222 each member renewal per year to $228 for each member renewal per year. This amounts to a 2.7% increase.
Keep in mind that Medicare Advantage and Part D commissions are pro- rated when paid out. An example is a case sold for a June 1, 2017 start date. A commission payment of 6/12th the commission will be paid out. The renewal for the case will then start on 1-1-18. New to Medicare sales will still pay out at the full commission but the full balance will be paid on the second payment. Medicare MAPD and PDP plan changes will be pro rated as will those enrolling in a plan after their initial Medicare A and B eligibility period. As a result, you receive MAPD commissions in three ways.